Consumer goods companies are demand- and price-sensitive to changes in the marketplace; often adjusting capacity, workflow, and personnel to meet present conditions and future projections.
Proctor & Gable has announced the mass layoff of employees in two states, Iowa and Kansas in the near future.
The company will move 500 jobs from its Iowa City, Iowa Beauty Care Plant’s (hair care and personal cleansing body wash) production line to its newly-built facility in Tabler Station, West Virginia gradually with the move completed by 2020. Some of the well-known brands included in the move will be Pantene, Head & Shoulders, Herbal Essences, Olay, Old Spice, Gillette body wash, and Scope and Crest Oral Rinses. The oral care products, including power toothbrushes, will remain in Iowa City for now.
Additionally, the 100-year-old plant in Kansas City, Kansas facility will be closed and production transferred to the new West Virginia facility. Approximately 280 employees will be laid off. Some of the brands associated with the Kansas City plant include Dawn, Gain, Ivory and Joy hand dishwashing detergents.
Of course, there was the corporate speak, “Decisions like this are never easy, but we are communicating this decision more than two years in advance to help our employees plan for the future. We are committed to supporting Procter & Gamble people through the transition in a manner consistent with our values and principles."
P&G cites an enterprise-wide review started in 2013 as the impetus for the layoffs. Nothing to see here, move along.